Do ETFs always take 3 days to settle?

Discussion in 'Trading' started by cloudeleven, Jul 11, 2011.

  1. When you sell an ETF does it always take 3 days to settle, even if you had held the ETF (with no trades) for years?

    What about buying an ETF? Does the buy always take 3 days to settle?

    What about mutual funds? Do those take 3 days to settle as well (buying and selling)?
     
  2. rmorse

    rmorse ET Sponsor

    To my knowledge, all these products settle in T+3. Buy/sell is the same. You're buying from the seller, so they settle at the same time.
     
  3. ETFs are T+3 settlement and that can be a problem in a cash account. In a margin account, broker will lend to you.